Overview

• CoreWeave plans to raise over $3 billion in an IPO, targeting a valuation of at least $35 billion, but faces significant market challenges.
• Microsoft, responsible for 62% of CoreWeave's 2024 revenue, has reduced its commitments due to delivery delays and missed deadlines.
• The company's reliance on GPU-backed debt and falling GPU prices present financial risks, with $11 billion in debt secured against NVIDIA hardware.
• CoreWeave's 2024 revenue surged 737% to $1.92 billion, yet it reported a net loss of $863 million, highlighting profitability concerns.
• The acquisition of AI platform Weights & Biases aims to bolster CoreWeave's offerings, but competition from hyperscalers building their own infrastructure looms large.